Northern Star a shining light as gold rises

Gold developer
Northern Star Resources
have upgraded stage one production expectations to 65,000 ounces per year at its Paulsens Gold Mine in Western Australia after drilling results announced on Tuesday revealed high-grade intercepts.

Northern Star acquired the mine from Intrepid Mines for $40 million on the basis of the project’s Stage One mine plan, which provided for 55,000 ounces to be mined by early 2011.

But the recent drilling results provide more evidence that Paulsens will be extended beyond the current stage one mine plan of 65,000 ounces, the company said in a statement to the Australian Securities Exchange.

“Since this drilling was done, we have completed the 705 drill drive and now have two rigs operating," Northern Star Managing Director Bill Beament said.

“This will enable us to pursue the extensions to Voyager 1, and therefore increase the mine life, at a rapid rate, generating strong news flow in the process."